OPTION TO PURCHASE
Made and entered into by and between _____________________ (hereinafter “the grantor”) and _____________________ (hereinafter “the grantee”) INTERPRETATION The clause headings of this agreement are for reference purposes only and shall not be used in the interpretation thereof. Unless the context clearly indicates a contrary intention expressions which denote:-
• • • •
any gender, shall include the other genders; a natural person shall include an artificial person and vice versa; the singular shall include the plural and vice versa; when any particular number of days is provided for the doing of any act or for any other purpose, the reckoning shall exclude the first day and shall include the last day which shall be a business day and shall include all Saturdays, Sundays and Public Holidays which occur during the period;
DEFINITIONS "the Seller" means "the Purchaser" means “the property”/”business”/”asset” [DELETE THAT WHICH IS NOT APPLICABLE] means “the option” means the option recorded below; SUBJECT MATTER OF OPTION The Seller hereby grants to the Purchaser an option to purchase the DEFINE AND DESCRIBE THE PROPERTY/BUSINESS/MOVABLE ASSET HERE upon the terms and conditions set out in the sale agreement annexed hereto/to be concluded (delete that which is not applicable). The option is given upon the terms and conditions set out herein. COMMENCEMENT, EXERCISE AND DURATION OF OPTION The option shall commence forthwith upon the signing of this agreement and shall continue until expiry on DATE/EVENT. LAPSING OF OPTION If the option is not exercised by the date and time specified above, then it shall lapse. EXERCISE OF OPTION The option shall be exercised in writing by notice delivered to the Seller which notice must be delivered personally to the Sellers at his residential or business address and if he is absent, then to any responsible person at such address. If the option is exercised, the parties shall be deemed to have entered into a contract to purchase the property/business/ asset upon the terms and conditions set out in the annexed sale agreement or a sale agreement to be concluded in due course but not later than one month of date hereof, which shall be binding on the parties. ENTIRE AGREEMENT This agreement constitutes the entire agreement between the parties with regard to the matters dealt with herein and no representations, terms, conditions or warranties express or implied not contained in this agreement shall be binding on the parties. VARIATION AND CANCELLATION No agreement varying, adding to, deleting from or cancelling this agreement, shall be effective unless reduced to writing INSERT
and signed by or on behalf of the parties. It is recorded that there exists no collateral and/or other agreements and that this is the sole agreement entered into by and between the parties; INDULGENCES No indulgence granted by a party shall constitute a waiver of any of that party's rights under this agreement; accordingly, that party shall not be precluded as a consequence of having granted such indulgence, from exercising any rights against the other which may have arisen in the past or which may arise in the future. CESSION The Purchaser may at any time prior to the exercise of the option cede, transfer, assign and delegate all, but not part only, of his rights and obligations in terms of this option to any person whom in his sole and absolute discretion deems fit ("the cessionary"); If the purchaser elects a cessionary, then the cessionary shall exercise the purchaser's rights and obligations in terms of this option, AND all right, title and interest in and to all rights and obligations in terms of the annexed sale agreement OR a written and signed offer to purchase agreement between the parties hereto shall be deemed to have been ceded, assigned and delegated to the cessionary who shall become the sole purchaser in terms of the said external agreement/ s.
THUS DONE AND SIGNED BY THE RESPECTIVE PARTIES AS FOLLOWS :
_______________________________________ Name : Place: Date:
_______________________________________ Name : Place: Date: